• Income Tax Exemption in India: How does it work?
Tax exemption is the financial exclusion that lowers the taxable income. You can avail wholesome relief from tax or decreased tax rates or tax will be for on a certain portion. Tax exemption is therefore a mandatory exemption to a general rule rather than the absence of taxation in certain conditions. Tax exemptions are given to boost certain economic activities.
• What is Section 80G of income tax act?
The deductions under the Section 80G are the contributions that you have made to some charitable organisations or institutions. However, not all donations are eligible under this section.
• What Tax exemption benefit do I get?
As per the revised tax exemption act, effective April 1, 2017, donations above Rs 500 to looksociety will be eligible for 50% tax exemption under Section 80G of Income Tax Act. By contributing to looksociety, you will help in feeding school children and also help yourselves with tax deduction benefit.
The exemption is calculated by reducing the donated amount from your taxable salary. For instance, if your taxable income per year is Rs 200,000 and you make a donation of Rs 5,000 then your net taxable income will become Rs 197,500. Your tax will now be calculated on this new amount basis the prevailing tax rates.
• What is the minimum amount that needs to be donated to get a tax exemption?
A minimum of Rs 500 needs to be donated to avail tax exemption under IT sec 80 G.
• Do you issue Tax receipts? How long does it take for them to reach us?
Yes, you can expect your receipts within 10 days after you have made the donation.
•Is there tax exemptions on cash donations as well?
Cash donations above Rs.2,000 is not applicable for 80G certificates.
• When can I get a tax exemption certificate?
We generate the tax certificate within 6 days from the date of contribution made through online donations. Including the courier process it takes 10 days for the exemption certificate to reach you. If you contribute offline it takes 15 to 20 days.
•What if the Tax receipt is misplaced?
We may not be able to provide you a duplicate receipt. But we can send you the Income Tax Exemption certificate copy.
•I am an NRI. Will I get tax exemption on my donation?
NRI (Non-Resident Indian) donors, who are Indian citizens, holding an Indian passport are eligible to tax exemption under section 80 G of the Income Tax Act. Don’t forget to mention your Indian PAN Card Number in the online donation form to avail the tax benefits. You can also write to info@looksociety.org for any further queries.
• If I am a resident of the U.S. will I be eligible for tax exemption?
As a resident of the U.S. you can avail of tax exemption by making a donation on looksociety.org , the U.S. chapter of The looksociety Foundation.
• If I am a resident of the U.K. will I be eligible for tax exemption?
As a resident of the U.K. you can avail of tax exemption by making a donation on looksociety.org , the U.K. chapter of The looksociety Foundation.
Want to avail tax exemption? Make a donation today!